Oil prices could keep rising. Here's why

Hedge fund manager Kyle Bass thinks demand for oil is about to go up.

"Crude is going to go from a glut to a shortage in the next two years," Bass, the founder and chief investment officer of Hayman Capital Management, told Richard Quest on CNNMoney's "Markets Now" on Wednesday.

Bass thinks that investors are overestimating the impact that electric cars will have on demand for gas.

"There's a view around the world that electric cars are going to really affect hydrocarbon demand in the near term," Bass said. But he thinks that electric cars won't "even dent" demand for traditional fuel until about 2030.

The United States, on the other hand, has been exporting oil since lawmakers ended a 40-year ban on exports in late 2015. And US production of crude recently hit a record high because of the shale oil boom.

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